I get the feeling that Famous Dave's is going fade away. The novelty has long worn off and diners who have options like Buffalo Wild Wings, are not interested in Dave's any longer.
Earnings were uninspirational. Not much growth here. Moving on...
Cost and Expenses 90.2%; [High]; Income from Operations 9.8%; ???; There can be a change of focus on higher margin output; That would need to happen very soon; Do not know why they continue to grind with the current business model, the way they do.....
Detailed Quote for Famous Dave's of America Inc. (DAVE)
$ 9.51_5, -0.015, (-0.16%), Volume: 15.62 k;
Market Cap 80M; Enterprise Value 39.321M on 7.21M Shares O/S since ‘94
Pricey @ +41M; +5.67 / Share;(60%) per Downside; per Avgs;
Per 5.45_373_05, Sales:148-151M; Avg 38M per Qtr; Per Avg Shares O/S; Low (6.65) to 12.20;
Schedule 1: Value:
Company Value per MRQ $$MM: $39.321 , Sum Trading At: , Primary Metric(s) per CF, 0.8_804 , Weighted per Price Range / Change, 7.48_404 , Primary Weight Adj Trade Metric, (0.73) , desired range (2.71) off adjusted level price of 8.16;
Schedule 2: Cash
Current Assets Change Since ’94, (3.861M);
Sum Trading At: , Primary Metric(s) per CF, 4 , Weighted per Price Range / Change, 7.48_404 ,Primary Weight Adj Trade Metric, 6.22 , desired range (2.71) off adjusted level price of 8.16;
Schedule 3 Forward;
Net$$M Accum Earnings Since '94: 22
Weighted Cost of Capital: 0.53174
Estimated Local Continuing Value in $$M: (0.761_975_950);
Estimated Factor NOT LOCAL in $$M: (51.604)
Estimated ContinuingValue:Enterprise Value $$M: 39.321
Est NOT LOCAL Price on LT Fwd Value : 4.76212
5.45, Factor Forward.
0.87_3_24, Price To.
16.05% , Desired Percentage Increase in EV from most recent reported Share Equity.
Market Cap differential of (4.984M); (12.676%)
Do not own shares; Follow the company;
Business Profile @ 12_701 Whitewater Drive; Suite 200:[hahaha!!!]
Overvalued @ 80M; 1.99_26x
Reference Recent Article:[No longer a Bargain Stock]
DAVE and BWW are only partially competitors. They have different foci and significantly non-overlapping menus and clientele, and share mindspace in the overlap. That is, very few people are going to BWW who aren't also going to DAVE.
Restaurant trade was picking up the past few months. Tons of openings of all kinds of sit-down places in my area just since Thanksgiving. Then the Arab world got restless and oil prices have spiked and it's looking like a volatile spring is ahead for everyone.
DAVE depends on expansion to grow. The closures in the NE were to blame for missing profit numbers on good revs this Q. If DAVE had been able to grow through '10 those closures would have been offset by openings and would have been a smaller hit to the overall value of the company.
If the OPEC types stop blowing up their populations, gas prices come down, and margins can be improved predictably, I expect expansion to resume in a big way. DAVE is a very popular concept almost everywhere it goes.
Maybe its the locations here in the midwest. It seems to me that Buffalo Wild Wings is alway packed. Dave's, not really.
I can't argue about the food. I've been to Buffalo Wild Wings a couple of times. Mostly for beer and to watch sports. Its the sports and the atmosphere that attracts people to Buffalo Wild Wings.
I don't have anything againt Daves. It just seems to be an after thought.
Stock will take a beating tomorrow. Numbers are lame. Only one making money here are the insiders with their stock based compensation. I'm holding, but not buying anything over 6.50. Only good news is that once the stock price tanks, the company will have cheap shares to buy back.
I agree. It seems that Dave's business model is "old" or at least the perception is. I don't know anyone that goes to Dave's anymore. They are going to more of the "sports" bar/resturants.
There are too many "eating out" options. Not sure Dave's can compete long term.
Agreed, bad earnings on the higher revenue number. Hopefully they can elegantly explain that away. The share buyback program should protect the pps action in the near term until the dust settles.